Why was 1973 so popular for silver "Art Bars"

tydye · December 5, 2011 4:15AM

It seems like the vast majority of art bars are from this year. Anyone know why? I was only 3 at the time.

OnlyGoldIsMoney · December 5, 2011 4:38AM

Think of it as a fad that quickly waned.

I recall visiting my local coin shop at the time. My interest was in buffalo nickels, mercury dimes, etc. Others were collecting 1 ounce silver bars with all sorts of themes. Some even sought out what they called "error" bars. My LCS must have had scores of different designs.

CaptHenway · December 5, 2011 5:54AM

<< Think of it as a fad that quickly waned.

I recall visiting my local coin shop at the time. My interest was in buffalo nickels, mercury dimes, etc. Others were collecting 1 ounce silver bars with all sorts of themes. Some even sought out what they called "error" bars. My LCS must have had scores of different designs. >>

Yeah, it was a fad fueled by cheap silver. Harry Forman was promoting them heavily in Coin World.

tydye · December 5, 2011 6:28AM

Thanks for the info. How much were these selling for in 1973?

OnlyGoldIsMoney · December 5, 2011 8:43AM

<< Thanks for the info. How much were these selling for in 1973? >>

My recollection is a tad fuzzy but $4 to $5 each seems about right.

1970SilverArt · December 5, 2011 8:56AM

1973 appears to be a very popular year for silver art bars. There are a lot of small private mints that minted silver art bar that have a 1973 mint date. Some of those private mints were USSC (United State Silver Corporation), Mother-Lode Mint, Madison Mint, Hamilton Mint, and Colonial Mint to name a few of the private mints that produced these. To be honest with you, I do not know exactly why 1973 was a popular year for silver art bars but maybe it has something to do with what the gold and silver markets were doing during that time. I also do not think that during that time, you had as many choices of buying 1-oz silver. I think that the only choices to get into physical silver was 90% silver. You did not have Engelhard Prospectors and you did not have 1-oz SAEs back to buy back in 1973. I think that silver art bars were the only way for an average person to buy 1-oz .999 pure silver.

CaptHenway · December 5, 2011 12:34PM

Looked on Kitco.......the average London silver price for 1971 was $1.394; 1972 $1.976; 1973 $3.137.

It was hot, by then-current standards, and people wanted to buy, BUY, BUY!!!!!!!!!

tydye · December 5, 2011 8:20PM

Thanks for the info. That was a hefty premium compared to silver spot. Even with silver more than doubling during the early 70s they would still be in the hole.

Overdate · December 5, 2011 11:45PM

<< Looked on Kitco.......the average London silver price for 1971 was $1.394; 1972 $1.976; 1973 $3.137. >>

So silver has been a 10-bagger in only 38 years (1973-2011)!

Except that the consumer price index (CPI) has been a 5-bagger during that same period. So in real terms, silver has been only a 2-bagger in 38 years.

Except that the CPI has been manipulated for years to understate actual increases in the average cost of living.

So it's entirely possible that the purchasing power of an ounce of silver is about the same as it was in 1973!

CaptHenway · December 6, 2011 2:15AM

Sure would be nice to have some honest info on what a dollar now was worth back then.

RGJohn · December 6, 2011 7:54AM

I think it was the economic uncertainty of the times when OPEC created the first oil crisis. (politics aside, they didn't 'create' it, we did. By refusing to concede a bit we forced them to demand it all) That was the first post-WWII seemingly-foreign-caused economic uncertainty that seriously threatened our theretofor complacent post-WWII 'of course we're top-dog' reality. That newly created uncertainty engendered a desire to return to specie as a fundamental. Inflation was wicked. If owning gold wasn't still illegal, I believe that most of us at that time still belived that it was.
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Because of ambiguity in the laws ( NORFED is still being prosecuted) 'art' bars which were just .995 or better silver bullion were safe and convenient. And not illegal. Today, the idea that owning precious metals would get you locked up seems ridiculous. Not then. Many of us still suffered from prohibition 'hangover'. The law was gray, not black and white. Analagous to MMJ today perhaps.
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So the 'explosion' as it were of art bars back then may have been due to a combination of those factors. And $4 was more than the average Jane/Joe was making per hour back then. But we owned our own house, operated motor vehicles, recreated, and generally enjoyed the trappings of prosperous folks. And if we were doing well, we bought an art bar or two. As an investment, an art piece, a hedge against inflation, name your motivation.............

1970SilverArt · December 6, 2011 8:50AM

<< I think it was the economic uncertainty of the times when OPEC created the first oil crisis. (politics aside, they didn't 'create' it, we did. By refusing to concede a bit we forced them to demand it all) That was the first post-WWII seemingly-foreign-caused economic uncertainty that seriously threatened our theretofor complacent post-WWII 'of course we're top-dog' reality. That newly created uncertainty engendered a desire to return to specie as a fundamental. Inflation was wicked. If owning gold wasn't still illegal, I believe that most of us at that time still belived that it was.
-----
Because of ambiguity in the laws ( NORFED is still being prosecuted) 'art' bars which were just .995 or better silver bullion were safe and convenient. And not illegal. Today, the idea that owning precious metals would get you locked up seems ridiculous. Not then. Many of us still suffered from prohibition 'hangover'. The law was gray, not black and white. Analagous to MMJ today perhaps.
---
So the 'explosion' as it were of art bars back then may have been due to a combination of those factors. And $4 was more than the average Jane/Joe was making per hour back then. But we owned our own house, operated motor vehicles, recreated, and generally enjoyed the trappings of prosperous folks. And if we were doing well, we bought an art bar or two. As an investment, an art piece, a hedge against inflation, name your motivation............. >>

That makes sense to me. I did not think about it from that standpoint.

ebaytrader · December 6, 2011 12:00PM

It was about that time that we were first allowed to own more than 500 oz of silver bullion since 1934. Minters jumped in. Most pre-1973 art bars are very collectible.

shorecoll · December 7, 2011 1:01AM

That also explains why 1000 oz bars were being traded with the shades drawn and the doors locked at the B&M I visted as a kid.

Exo2012 · May 23, 2012 10:23AM

<< It seems like the vast majority of art bars are from this year. Anyone know why? I was only 3 at the time. >>

Coin collecting pushed aside stamp collecting in the early 1960's. Everyone was collecting coins. Then the government made coins 'boring' by taking the silver out of them, and perpetuating a bunch of stale old designs in the coins that did circulate.

People started collecting medals from the Franklin Mint (anyone remember them?) for the funky designs, historical & patriotic topics. But most of their stuff was sterling ( .925 fine silver), and a bunch of odd weights (500 grams, 1000 grams, to name just a few). When people started to worry about inflation in the 1970's demand shifted to 999 fine silver, denominated in easy to understand Troy weights.

1970SilverArt · May 23, 2012 10:28AM

<< 

<< It seems like the vast majority of art bars are from this year. Anyone know why? I was only 3 at the time. >>

Coin collecting pushed aside stamp collecting in the early 1960's. Everyone was collecting coins. Then the government made coins 'boring' by taking the silver out of them, and perpetuating a bunch of stale old designs in the coins that did circulate.

People started collecting medals from the Franklin Mint (anyone remember them?) for the funky designs, historical & patriotic topics. But most of their stuff was sterling ( .925 fine silver), and a bunch of odd weights (500 grams, 1000 grams, to name just a few). When people started to worry about inflation in the 1970's demand shifted to 999 fine silver, denominated in easy to understand Troy weights. >>

Actually, I think the weights on the Franklin Mint bars were 500 grains and 1000 grains of .925 fine silver based on what I have seen in the past. 500-gram and 1000-gram bars would be very big Franklin Mint silver art bars.

piecesofme · May 23, 2012 11:30AM

Why was 1973 so popular for silver "Art Bars"

Because this was the first year that I bought Silver...I'm a trendsetter.

My non-smart arse answer is because it's like anything else, there was opportunity to cash in on an available "thing". Talk about the economics at the time all you want, but it came down to opportunity. Why were beanie babies crazy for a few years? because it was a "thing" that everyone had to have at the time. I really think it's as simple as that. jmho

Why was 1973 so popular for silver &quot;Art Bars&quot;

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Why was 1973 so popular for silver "Art Bars"